Otto completes refinancing effort

Residential waste and recycling cart manufacturer Otto Environmental Systems North America Inc. (OESNA), Charlotte, North Carolina, has completed its refinancing effort. Otto says it spent the last 18 months going through an operational turnaround.

Its plants needed extensive refurbishment in order to handle increased sales volumes. During this period Otto says invested more than $18 million into its infrastructure. To assist its continued growth, Otto elected to raise outside capital.

“We considered several options including investments from strategic investors and PE (private equity) firms to finance our balance sheet,” the company says in a press release. “After a long review of the various options, we are proud to report our current Canadian lender has agreed to expand our existing credit facility.”

According to the company, the restructuring will result in a stronger balance sheet and liquidity.

Looking forward with new molds and machines in place, Otto says it is poised to increase production by 20 percent. Future investment is geared toward operational systems that increase production efficiencies, cloud-based technologies that improve field-to-desktop fleet monitoring within Otto’s logistics portal and R&D activities to expand on existing product lines, RFID projects and market segments.

“The investment in infrastructure is part of Otto’s promise to serve customers, suppliers and overall network with additional capacity, shorter lead times, improved customer service, and better overall communication,” the company says.